Why are tungsten rings so cheap on Amazon?
Usually, the market price of tungsten ring varies from $ 20 to $ 600. However, when you search for the tungsten rings on Amazon, you’ll see that the price could be as low as $ 20. There are a couple of reasons that justify why tungsten rings are cheap on Amazon. Let’s understand them in brief.
First: Tungsten, on the whole, isn’t a very expensive metal
Since the price of tungsten is about $1-2 per oz, the price of finished tungsten products is also cheap and varies from $ 100 to $ 2500 per kilo. You can, however, find a good variety of products in the range of $ 500 to $ 1000 per kilo. Now, since most of the rings are weighed around 17-20 grams i.e. less than 1 oz, the cost of the material used falls under 10 dollars.
Now, that is about the material cost, but the ring isn’t all about the material cost. The ring cost will involve the material cost, production cost as well as the labor cost. All of this is called the factory cost range from $10 to $50 depends on the quality
Now, let us do some math here.
The manufacturer sells most probably cheap tungsten quality rings to retailers such as Amazon sellers at a price of around $10. Thereafter, the retailers will design the packaging of this product which will cost them anything between $1 to $5. Now, comes the shipping fee for the Amazon warehouse. Honestly, it isn’t expensive at all. If you are sending 500 pieces of the rings to the warehouse, you will have to pay around $0.2 per piece. As a result of all of this, the cost of the ring will come around $10 and the selling price varies from $20 to $100, making it hugely profitable.
Second: Amazon has a competitive market
If you look at the price of tungsten rings a decade ago, you will notice that back then the rings were fairly expensive. However, now the online market is very competitive especially with the emergence of the Chinese sellers. As a result of this, the price is kept on the lower side.
Third: Marketing Cost on Amazon is less
Now, you already know that marketing cost is high when you have to promote a product. Since Amazon is an online platform with several millions of buyers looking for their desired product, the marketing cost is fairly negligible.
Fourth: No lifetime warranty
On Amazon, you are covered only for the first 30 days. So, if your ring breaks after that period, you are on your own. On the other hand, the offline stores offer a lifetime warranty on their rings and you have to pay a price for that.
Understand a simple logic, when you are buying a tungsten ring, head straight to the description and see the composition of the ring. If the ring is made of cobalt, you have to skip it. On the other hand, if the ring is made of any other alloy, it is great and can be bought. The cobalt rings are usually on the cheaper side. If the ring has a cobalt filler it will tarnish with time.
Always Buy Quality Tungsten Rings from reputed suppliers like Tungsten Rings Direct.